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Which? responds to news that a fifth of EBSS prepayment vouchers remain unredeemed

Which? has said a fifth of Energy Bill Support Scheme vouchers for traditional prepayment meter customers remain unredeemed, and called for action in the scheme's final weeks.

A newspaper on a kitchen table beside a model of energy bills and the price cap

Which? published a press statement on 26 April 2023 responding to news that a fifth of Energy Bill Support Scheme (EBSS) vouchers for traditional prepayment customers have still not been redeemed1. The consumer body said the unredeemed vouchers mean many customers on traditional prepayment meters, who are often on lower incomes, are missing out on much-needed financial support1.

Rocio Concha, Which? Director of Policy and Advocacy, said efforts by the government and energy suppliers to raise the redemption rate were welcome, but that the remaining fifth was worrying1.

"While we welcome efforts from the government and energy suppliers to increase the redemption rate for Energy Bill Support Scheme vouchers, it's worrying that a fifth of vouchers still haven't been redeemed."
Which?, source1

The statement said the government, energy suppliers and top-up outlets must raise awareness of the scheme in its final weeks and do everything possible to reach customers who are struggling to redeem their vouchers or are unaware of the scheme1. It also said customers must be told that lost, missing or expired vouchers can still be reissued and redeemed until 30th June 2023, and that the reissuing process must be as quick and easy as possible1.

Which? said it launched a campaign in the autumn calling on businesses in essential sectors, including supermarkets, telecoms and energy, to do more to help their customers through the cost of living crisis, and that it had campaigned for the government and energy suppliers to improve the EBSS for traditional prepayment meter customers1. In December, Which?, Money Saving Expert, National Energy Action, Citizens Advice and Age UK wrote a joint letter to energy firms calling on them to take immediate action to ensure traditional prepayment meter customers are able to access government support1.

The statement does not give a total number of vouchers issued, a cash value for the unredeemed fifth, or a breakdown by supplier. Those figures have not been reported in the statement1.

Why it matters for households

The EBSS delivered support to households through electricity bills, and for customers on traditional prepayment meters it was delivered as vouchers that had to be redeemed rather than as an automatic credit. An unredeemed voucher is support a household has not received, and the statement identifies these customers as often being on lower incomes1.

For a home on a prepayment meter, the practical effect is a gap between support announced and support received. The prepayment vs direct debit comparison sets out how the two payment methods differ in cost and in how credit reaches the meter, and self-disconnection covers what happens when a prepayment meter runs out of credit. Vouchers that go unclaimed do not reduce a household's dependence on topping up the meter from its own income.

What happens next

The statement says lost, missing or expired vouchers can still be reissued and redeemed until 30th June 20231. Which? called for that reissuing process to be as quick and easy as possible, and for awareness efforts to continue through the scheme's final weeks1. No further dates or figures beyond 30th June 2023 appear in the statement1.

Sources1 cited
  1. Which? responds to the news that a fifth of Energy Bill Support Scheme vouchers for traditional prepayment customers still haven't been redeemed - Which?, which.co.uk